Location: Orlando-Kissimmee-Sanford, FL | Metro: Orlando-Kissimmee-Sanford, FL MSA
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,750 |
| 1 Bedroom | $1,820 |
| 2 Bedrooms | $2,070 |
| 3 Bedrooms | $2,580 |
| 4 Bedrooms | $3,020 |
| 5 Bedrooms | $3,503 |
| 6 Bedrooms | $3,923 |
| 7 Bedrooms | $4,237 |
| 8 Bedrooms | $4,449 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-08-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 1BR | $1,820 | $159,228 | 1.14% | B |
| 2BR | $2,070 | $238,137 | 0.87% | C |
| 3BR | $2,580 | $364,924 | 0.71% | D |
| 4BR | $3,020 | $456,266 | 0.66% | D |
| 5BR | $3,503 | $569,910 | 0.61% | D |
U.S. Census Bureau data (2024)
Orlando’s 32825 ZIP code, primarily encompassing the University of Central Florida (UCF) area and adjacent residential neighborhoods, offers a distinct student and young professional demographic. The presence of UCF is a major economic anchor, driving consistent demand for housing from faculty, staff, and the sizable student population. The neighborhood character is generally suburban with pockets of dense, apartment-style living suitable for those seeking proximity to educational amenities and the growing Research Park area.
From a financial perspective, the numbers present a clear opportunity for voucher holders. The FY2026 HUD Fair Market Rent for a two-bedroom unit is set at $2,100, while current market rents (Zillow ZORI) average $1,894. This creates a favorable gap of $206, meaning Section 8 tenants can effectively outbid the average market rent. For investors, the median home value sits at $389,205, with a specific 2BR median sale price of $241,133. Properties are moving relatively quickly, with a median days on market of 37 days, indicating active liquidity.
The tenant pool is robust, supported by a 35.4% renter share and a median household income of $81,651. While the area is not low-income, the high renter percentage and proximity to UCF suggest a constant turnover of residents who may qualify for or require housing assistance, particularly graduate students or university support staff. Local amenities are bolstered by top-rated Orange County Public Schools and convenient transit options along major corridors like East Colonial Drive and the 417, enhancing the property’s long-term desirability.
The Section 8 verdict here leans heavily toward cash flow and stability. With the 2BR voucher rate exceeding market rent by $206, landlords achieve immediate positive spread without sacrificing pricing power. The combination of a lower median 2BR sales price ($241,133) and higher allowable rent ($2,100) suggests strong potential returns. Furthermore, the 37-day turnover rate implies that vacancies will be short-lived, making this a solid play for investors seeking reliable income backed by a major institutional employer.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-08-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.